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Technical Precious Metals
Written by article default Friday, 14 January 2011 02:57
GoldMidday Report
Finally, we could have been able to see a sign of the bearish trend once more as the metal is presently moving below SMA 20 and SMA 50. Additionally, the major support line was breached, secondary image. Those technical factors make us keep our morning anticipations unchanged for the rest of the day. We should witness neither a daily closing above 1395.00 nor a four hour closing above 1406.00
The trading range for today is among the key support at 1330.00 and key resistance now at 1413.00.
The general trend over the short term basis is to the downside targeting $1208.00 per ounce as far as areas of 1485.00 remain intact.
| Support | 1376.00 | 1372.00 | 1360.00 | 1355.00 | 1350.00 |
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| Resistance | 1388.00 | 1395.00 | 1402.00 | 1406.00 | 1413.00 |
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| Recommendation | Based on the charts and explanations above our opinion is, selling gold around 1388.00 targeting 1330.00 and stop loss with a four hour closing above1406.00 might be appropriate. | ||||
Silver
Midday Report
Silver declined quickly, influenced by the rising wedge pattern and at the same time, the trading stabilized below the initial support of 29.40, approaching the support of 29.05-29.00. A break of the aforesaid support levels will strengthen the possible the bearishness for the rest of the day. We recommend reviewing the previous reports for more details about the bearish harmonic formation.
The trading range for today is among the key support at 28.05 and key resistance now at 30.85.
The general trend over short term basis is to the downside targeting 23.60 as far as areas of 30.80 remain intact with weekly closing.
| Support | 29.05 | 29.00 | 28.75 | 28.60 | 28.45 |
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| Resistance | 29.60 | 29.75 | 29.85 | 30.00 | 30.15 |
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| Recommendation | Based on the charts and explanations above our opinion is, selling silver around 29.75 targeting 28.05 and stop loss with a four hour closing above 30.15 might be appropriate. | ||||